Sanford C. Bernstein Says Toshiba Won't Be Delisted

The video discusses a company's financial challenges, particularly its awareness of losses in its US nuclear business and the threat of being delisted from the Tokyo Stock Exchange. Despite the risks, the company is considered too important to the Japanese economy to be delisted. The main hurdle is the negative book value, which must be resolved by selling the NAND business. However, legal disputes with Western Digital are delaying this sale. The video emphasizes the need for negotiation to avoid severe consequences in the memory industry, where continuous investment is crucial.

What is the significance of Toshiba endorsing its first-quarter earnings with a qualified opinion?

• It suggests potential delisting from the stock exchange.

• It shows an improvement from not signing anything at all.

• It indicates complete financial stability.

• It means the company is going bankrupt.

Why is Toshiba's negative book value a critical issue?

• It allows the company to expand its business.

• It requires resolution within 12 months to avoid delisting.

• It means the company is profitable.

• It has no impact on the company's financial status.

What is the primary solution Toshiba is considering to fix its negative book value?

• Selling the NAND business.

• Acquiring new businesses.

• Reducing production costs.

• Increasing its workforce.

What is the main obstacle Toshiba faces in selling the NAND business?

• High market competition.

• Western Digital's claim of consent rights.

• Insufficient production capacity.

• Lack of interested buyers.

What could happen if Toshiba and Western Digital do not resolve their dispute over the NAND business?

• Both companies might end up with nothing.

• The NAND business could become more profitable.

• Both companies could benefit financially.

• The memory industry could become less competitive.